KUALA LUMPUR: Strong results from the retail segment drove Sunway Real Estate Investment Trust
's (REIT) profitability higher in the second quarter of 2026, while the hotel and industrial segments also contributed to a resilient performance.
In 2QFY26, Sunway REIT posted a net profit of RM106.51mil as compared to RM96.53mil in the year-ago quarter. Quarterly revenue rose to RM220.35mil from RM211.4mil in the previous comparative quarter.
Earnings in the cumulative six-month period climbed to RM215.55mil from RM195.09mil while revenue increased to RM443.36mil from RM430.26mil.
The REIT announced an income distribution of 6.28 sen per unit, while has an entitlement date of Aug 28, 2026, and payment date of Sept 11, 2026.
Sunway REIT Management Sdn Bhd CEO Derek Teh Wan Wei said the retail segment remains the primary growth driver with increased footfall and stronger tenant sales across the retail portfolio.
In 2Q, growth was largely attributed to the full reopening of the existing wing of Sunway Carnival Mall in May 2025, stronger performance from the flagship Sunway Pyramid Mall and additional rental income from AEON Mall Seri Manjung following its acquisition in July 2025.
The retail segment’s net property income (NPI) increased 14% to RM130.4mil, compared with RM114.1mil in 2Q25.
Meanwhile, the hotel segment registered an 8% year-on-year (y-o-y) increase in revenue to RM18.1mil in 2Q as compared to the year-ago quarter, supported by stronger contributions from Sunway Resort Hotel, Sunway Lagoon Hotel and Sunway Putra Hotel.
NPI rose 9% to RM17mil, from RM15.6mil in Q2 2025.
Despite a softer first quarter, the REIT manager said its segment's outlook for 2H26 remains encouraging, supported by catalysts such as Visit Malaysia Year 2026, Malaysia Year of Medical Tourism 2026 and the continued rise in international tourist arrivals.
Teh said the retail segment is expected to continue benefiting from high occupancy levels, positive rental reversions and the full-year contributions from AEON Mall Seri Manjung and the refurbished Sunway Carnival Mall.
He added that the hotel segment is well-positioned to capture stronger tourism and business travel demand, while improving leasing momentum is expected to support the Office portfolio.
"Barring unforeseen circumstances, we believe these positive fundamentals will continue to underpin sustainable earnings growth and long-term value creation for our unitholders," he added.
